Pacgold (ASX:PGO) has received results from a reverse circulation drilling program which demonstrate the shallow bulk tonnage and “high-grade” potential of the Alice River Gold Project in Queensland.
At the Central target, 19 drill results have been received, returning several broad low-grade gold intersections from within the mineralised domain. The assays are in line with Pacgold’s expectations, returning grades up to 29 grams per tonne gold.
Some of the results include 48m @ 2.1g/t gold, including 2m @ 29g/t gold from 76m; and 50m @ 1g/t gold, including 1m @ 13.7g/t gold from surface.
The drilling program is continuing, with assay results from the Southern target expected in the next two weeks. The program is anticipated to be completed by early August.
Pacgold, which has a market capitalisation of $9.9 million, is focusing on step-out and regional drilling for the remainder of the field season. The drilling programs are aimed at enabling the definition and delineation of further gold mineralisation along the strike of the Alice River fault zone.
During the next two months, five major target areas will be the core focus of the programs, with 70 holes to be completed before a follow-up program is designed.
Managing Director Matthew Boyes says drilling will focus on The Shadows, Posie, Jerry Dodds and Victoria targets, as well as new targets generated through last season’s aircore program.
“We are making excellent progress this year with drilling starting in April and we are now fully funded to continue through the entire drill season until late December,” Boyes says.
“Our prime objective this field season is to cover as much of the Alice River Fault zone as practicable to determine the potential scale of this asset.”
A diamond rig is scheduled to arrive onsite in July to conduct a program of drilling for metallurgical samples and structural information. An aircore rig is also scheduled next month to complete regional geochemical drilling.
Pacgold adds that an extensive induced polarisation electrical geophysics program covering the southern extensions of the Alice River Fault Zone from Victoria south-east to White Lion began in early June and is progressing well.
The geophysics program will run through to late July, with preliminary data available in late June.
The Alice River Project comprises 30km of prospective gold targets within 377km2 of granted permits and mining leases.
Pacgold is a junior mineral explorer focused on its project in the Northeast Queensland Mineral Province. The province contains several multi-million ounce gold deposits including Pajingo, Mt Leyshon, Kidston, and Ravenswood.
Write to Aaliyah Rogan at Mining.com.au
Images: Pacgold
